This information has been prepared by IG, a trading name of IG Markets Limited. In addition to the disclaimer below, the material on this page does not contain a record of our trading prices, or an offer of, or solicitation for, a transaction in any financial instrument. IG accepts no responsibility for any use that may be made of these comments and for any consequences that result. No representation or warranty is given as to the accuracy or completeness of this information. Consequently any person acting on it does so entirely at their own risk. Any research provided does not have regard to the specific investment objectives, financial situation and needs of any specific person who may receive it. It has not been prepared in accordance with legal requirements designed to promote the independence of investment research and as such is considered to be a marketing communication. Although we are not specifically constrained from dealing ahead of our recommendations we do not seek to take advantage of them before they are provided to our clients.
EUR/USD rallies from key support zone
EUR/USD has once again failed to break below the crucial $1.1510-$1.1554 support zone. A break below that level would point towards a continuation of the wider bearish trend that has been in play since February.
The question over whether we will see a wider break higher would come with a break above the $1.1721 peak. A rally above there would provide a double bottom, while a break above the $1.1852 level would have wider bullish implications. Until then, there is a good chance we will continue to set lower highs, with a break below $1.1510 providing the bearish signal for the longer term.